Kazia Therapeutics licenses global rights to novel, first-in class, clinic-ready oncology drug candidate EVT801

Kazia Therapeutics Ltd (ASX:KZA) (FRA:NV9) (NASDAQ:KZIA) has entered into a worldwide exclusive licensing agreement as well as a master services agreement with Evotec SE (FRA:EVT) – a leading European drug discovery and development company. The agreement was made for EVT801 – a small molecule, first-in class oncology drug candidate, for which Kazia expects to launch a phase-I clinical trial in 2021.   “Fast-track a clinical trial” Chief executive officer (CEO) Dr James Garner said: “We are delighted to add this tremendously exciting new compound to the Kazia pipeline. “Evotec have done first-class work in the early development of EVT801, and the preclinical data package is exceptionally strong. “We intend to fast track a phase-I clinical trial of the drug, which we expect to commence in 2021.” Consistent with Kazia’s strategy He added: “As we have built Kazia over the past five years, our strategy has been to assemble a portfolio of world-class development candidates through in-licensing. “The EVT801 transaction is wholly consistent with that strategy. “We have demonstrated, through the paxalisib program, our ability to add value to a development candidate, and we intend to similarly accelerate EVT801 via a rich and innovative development program.” Under the terms of the agreement, Kazia will pay an immediate upfront amount of €1 million (A$1.6 million), contingent milestones of up to €308 million (A$480 million) related to achievement of clinical, regulatory, and commercial outcomes over the lifetime of the drug, and a tiered single-digit royalty on net sales. “Promising asset” Evotec CEO Dr Werner Lanthaler said: “We are very pleased to partner with Kazia for this promising asset, for which we have high hopes. “Our corporate strategy does not provide for Evotec to take EVT801 through clinical trials itself, so we have sought to identify a partner who can do justice to the drug’s potential. “We recognise Kazia’s track record and look forward to working together to make EVT801 available to patients and clinicians.” Kazia and Evotec have also entered into a master services agreement, under which the two companies will collaborate closely on the further development of EVT801. Primary activity of EVT801 EVT801 was originally discovered by Sanofi (NASDAQ: SNY), the largest pharmaceutical company in France and among the five largest in the world and was developed through a partnership between Sanofi and Evotec. It is a small-molecule inhibitor of VEGFR3 whose primary activity is to inhibit lymphangiogenesis, the formation of new lymphatic vessels around a growing tumour. By doing so, EVT801 is expected to starve the tumour of vital nutrients and to reduce metastasis. EVT801 also has marked activity on the immune system within the tumour and may, therefore, enhance the activity of immuno-oncology therapies.